Specialty chemicals producer Stepan (SCL +1.06%) will acquire an expandable 21,000-ton plant when it takes over the North American polyester resins business from Bayer MaterialScience.
The global powder polyester resins business and the U.S.-based liquid polyester resins merchant business being acquired has sales of approximately $64 million and comes housed in a modern R&D laboratory for customer technical support and new product development. Powder polyester resins are used in a variety of coatings applications, including industrial metal and transportation coatings, while liquid polyester resins are utilized in creating various coatings and adhesives.
Stepan president and CEO F. Quinn Stepan Jr. said: "This acquisition will diversify our polyol offering and accelerate our efforts to grow in coatings, adhesives, sealants and elastomers, and polyurethane systems house applications. The acquisition should be slightly accretive to 2013 earnings. We intend to make future capital expenditures to expand the capabilities at the site."
While financial terms were not disclosed, the acquisition is expected to close in four to six weeks subject to customary closing conditions.
